Adaptive measures and compliance solutions for enterprises

From the perspective of enterprises, enhancing awareness and building the capacity to fulfil supply chain due diligence responsibilities is an inherent requirement that demands proactive engagement from businesses themselves. 

In particular, enterprises may consider the following key recommendations:

- First, under normal circumstances, enterprises should fully comply with all relevant Vietnamese laws on labour and environmental protection across their business operations, while maintaining complete documentation and evidence demonstrating such compliance.

This is a fundamental prerequisite for meeting European supply chain due diligence standards, not only for existing orders but also for potential future contracts. More importantly, strict adherence to labour rights and environmental protection standards can serve as a cornerstone for the long-term sustainability of the enterprise by strengthening relationships with workers and enhancing its adaptability to green transition trends in both domestic and export markets.

- Second, when developing business plans or strategic partnerships with major European clients or enterprises in other advanced markets, businesses should anticipate the need for supply chain due diligence activities and allocate adequate resources for these tasks. This preparation helps prevent passivity and ensures that enterprises can effectively engage in due diligence processes when required, thereby maintaining and expanding long-term partnerships with key clients.

An essential early step is the designation of appropriate personnel, such as staff responsible for policy affairs, public relations, legal compliance, human resources, or trade union matters, to undergo training or self-study on European supply chain due diligence regulations. Building this foundational knowledge enables enterprises to act promptly and appropriately when relevant requests arise.

- Third, when European partners directly or indirectly request cooperation in carrying out due diligence regulations, enterprises should thoroughly and accurately assess their specific responsibilities in the matter and respond accordingly.

On the one hand, understanding the regulations is necessary to ensure that cooperation is substantive, effective, and proportionate, neither superficial nor excessively burdensome (e.g., enterprises may legitimately refuse unreasonable information requests or ask European partners to clarify the legal basis for such requests).

On the other hand, accurate understanding of these regulations enables enterprises to take advantage of available support from European partners, particularly the assistance mechanisms mandated under the EU’s CSDDD.

Source: Compiled by the TTWTO-VCCI Research Group